March 31, 2021:-On Tuesday, the company said it would buy Betty Labs, the makers of live audio, social app Locker Room that focuses on sports. The terms of the deal are unannounced.

In the upcoming months, the company said it is planning to expand Locker Room into an “enhanced live audio experience” for its creators and fans.

Spotify is betting on the future of living, social audio with its acquisition of the Lightspeed Ventures and GV-backed company.

The focus on social audio features came to prominence the previous year with the launch of Clubhouse, an invite-only app backed by Andreessen Horowitz, which surged in popularity amid the pandemic.

Users flocked to the app to gather in virtual rooms to discuss from bitcoin to wellness, looking to recreate in-person conversations.

Social media companies want to enter the live audio space now to win the market. Twitter entered the competition with “Spaces” and has been rolling out the feature to many more users.

 According to The New York Times, Facebook is also working on a new audio chat product. Microsoft is also interested in buying the chatting app Discord for about $10 billion, reportedly.

On Tuesday, Spotify said that its acquisition would help it leverage the company’s “unparalleled data, insights, and strength in the experience of the user, to build-out a full complement of live and on-demand offerings for users and creators all around the world.”

Spotify’s podcast library has been bolstered by high-profile deals like Gimlet Media, Anchor, Parcast, and The Ringer’s acquisitions.

It also bulked up its exclusive content by having the rights to Joe Rogan’s podcast. It has since signed TikTok influencer Addison Rae, Kim Kardashian West, DC Comics, Michelle Obama, and The royal couple of Sussex.